THG Beauty Revenue Rises 5.9% in H1 2026

THG's Beauty division revenue grew 5.9% to £500.2 million in the six months ending 30 June 2026. The performance was driven by retailer Lookfantastic, rising sales on TikTok Shop, and strong demand for skin care and K-beauty products.

According to the company's financial report, total group revenue across its Beauty and Nutrition arms reached £828.7 million, a 7.2% increase. Beauty now accounts for approximately 60% of THG's total group revenue. The global retailer and brand owner stated its Beauty division continued to gain market share, with retail revenue in the UK rising 6.7%.

Lookfantastic and Social Commerce Drive Growth

Lookfantastic was a key contributor to the division's growth. The retailer expanded its premium brand offerings, adding more than 50 new brands to its roster during the period. Skin care sales on the platform saw a significant 17.4% rise year to date.

Social-led commerce provided a major boost. Lookfantastic's revenue generated through TikTok Shop increased by 26% year-on-year. THG's CEO, Matthew Moulding, said the results reflect a successful transition into a global leader in Nutrition and Beauty.

K-Beauty and Customer Loyalty Trends

K-beauty was another notable source of growth and customer acquisition for THG. The company reported acquiring more than 64,000 new customers specifically through its K-beauty offerings.

Customer loyalty also strengthened. THG Beauty saw its loyalty membership increase by 9%. The company stated that around 90% of its beauty revenue now comes from returning customers. The number of direct-to-consumer (D2C) orders placed increased to 16.1 million, up from 15.4 million.

Challenges and Forward Outlook

Despite the strong revenue figures, THG Beauty faced margin pressures. Gross margins fell to 38.8%, which the company attributed primarily to the timing of manufacturing orders.

The company also warned of upcoming challenges. New EU customs charges, introduced from 1 July 2026, are expected to weigh on the beauty business in the short term. THG is forecasting group revenue growth of only around 2% for the third quarter, with a recovery anticipated in the fourth quarter.

Matthew Moulding acknowledged broader market challenges. He cited consumer discretionary spending pressures, record high whey commodity pricing, and the recent EU tariffs. The CEO stated the group has delivered significant initiatives to mitigate these headwinds and remains supportive of full-year 2026 consensus forecasts. Positive signs around the direction of whey input costs were noted as encouraging for the future.